Page 10 - 630578_IBAT-Jan-Feb2018

SERVICES SPOTLIGHT

One-Stop Shop

RONNIE A. MILLER

s any community banker knows, That education thing is no small matter. I
success depends on good people know that their brokers and analysts can
Ausing the right tools and doing help with training for our directors on
the right things to serve customers and basic interest rate risk management and
grow long-term value for our sharehold- general corporate governance. They help
ers. These days especially, you can’t do us with exam prep and institution-spe-
it all yourself, and you often have to tap cific analysis for modeling assumptions.
outside relationships and resources to do Baker is a one-stop shop for all of that,
a good job of management. It is for these plus great trade execution on our bond
very reasons that IBAT endorsed The transactions.
Baker Group many years ago. The Baker Group’s relationship with
The reporting tools, strategies and Texas banks spans most of the history
support that we get from Baker are indis- of their firm. They have been around for
pensable. We’ve got smart people at the nearly 40 years and have partnered with
bank, but our expertise is limited when IBAT for a quarter of a century. During
it comes to managing the uncertainties that time, as market conditions have The Baker Group is
of interest rate risk and the investment changed or the regulatory environment
portfolio. The brokers and analysts at has shifted, Baker has been on point with one of the nation’s
Baker are like an arm of the ALCO com- strategy recommendations, best prac- largest independently
mittee, giving us guidance on regulatory tice suggestions, and education for the
issues as well as the best advice on what membership. It’s been a wonderful alli- owned securities
to do in the bond portfolio. As things ance for our members, and it has enabled firms specializing in
have changed over the years, Baker has the association to broaden and deepen investment portfolio
been first to adapt and respond. Their their commitment to community banks
municipal bond credit analysis is a good throughout the Lone Star state. management for
example. They have been way out in As an independent Texas bank, we community financial
front on satisfying the need for thorough count our blessings every day. We’ve got
pre-purchase and ongoing analysis and good people, good customers, a good institutions.
reporting of creditworthiness in munici- business model, and good partners like
pal bonds. Many of their competitors are The Baker Group to support our efforts. Since 1979, we’ve helped our
just now catching up with things they’ve Challenges will always continue for our clients improve decision-
been doing for years. industry. We will always need dependable making, manage interest rate
Another, more recent example is and reputable partners to help us face and risk, and maximize investment
liquidity risk management. They created cope with those challenges. I’m sure glad portfolio performance. Our
new reporting tools and stress tests for we’ve got Baker on our team.  proven approach of total
liquidity risk before it became a hot-but- resource integration utilizes
ton for examiners. They educate us on Ronnie Miller, board chair of IBAT Services software and products
these things through webinars, ALCO Inc., is president and chief executive officer developed by Baker’s Software
calls and articles, and they’re always hap- of Community National Bank in Hondo. Solutions combined with the
py to go over specific risk management firm’s investment experience
strategies that make sense for our bank. and advice.

10 The Texas Independent Banker